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Compared to Estimates, Xerox (XRX) Q2 Earnings: A Look at Key Metrics

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For the quarter ended June 2024, Xerox Holdings Corporation (XRX - Free Report) reported revenue of $1.58 billion, down 10% over the same period last year. EPS came in at $0.29, compared to $0.44 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $1.63 billion, representing a surprise of -3.11%. The company delivered an EPS surprise of -36.96%, with the consensus EPS estimate being $0.46.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Xerox performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenues- Financing: $38 million versus the three-analyst average estimate of $42.94 million.
  • Revenues- Services, maintenance and rentals: $929 million versus $965.14 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -7.9% change.
  • Revenues- Sales: $611 million versus the three-analyst average estimate of $626.51 million.
  • Revenue- Supplies, paper and other sales: $255 million versus the three-analyst average estimate of $250.72 million. The reported number represents a year-over-year change of -7.6%.
  • Revenue- Equipment sales: $356 million versus $375.90 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -15.2% change.
  • Revenue- Equipment Sales- Other: $5 million versus $5.33 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a 0% change.
  • Revenue- Equipment Sales- High-end: $60 million versus $70.66 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -26.8% change.
  • Revenue- Equipment Sales- Entry: $56 million versus the two-analyst average estimate of $54.70 million. The reported number represents a year-over-year change of -11.1%.
  • Revenue- Post sale revenue: $1.22 billion versus $1.26 billion estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -8.4% change.
  • Revenue- Equipment Sales- Mid-range: $235 million compared to the $251.88 million average estimate based on two analysts. The reported number represents a change of -13% year over year.
View all Key Company Metrics for Xerox here>>>

Shares of Xerox have returned -6.4% over the past month versus the Zacks S&P 500 composite's -0.3% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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